Number of condos on the market on September 16, 2005: 2262
Number of condos on the market on December 16, 2005: 2265
What does this mean? Well, that the number of listings has gone down, a lot, in the interim, for one thing. There were 2616 units on the market on October 28, 2005. A lot of units that came on in September and October have gone off the market, since, because they didn’t sell (or the owners didn’t get offers for enough, which is a different thing, altogether).
What is a good number of listings?
In my opinion, based on thousands of hours of research and analysis, there is parity at around 2,000 listings.
Below that, and there isn’t enough supply. Sellers aren’t willing to negotiate, at all, and, as important, there isn’t enough inventory in each price range to give buyers enough suitable properties from which to choose. I realize, 2,000 listings sound like a lot, but that is citywide.
Above that, as we have seen, and there’s a glut. This is good for buyers, because they can choose a place they really like, and be able to negotiate on price. It’s not a great situation for sellers, obviously. That might make you smile with glee, but remember, buyer today, seller tomorrow. Plus, what if you just bought, and suddenly had to sell because of a job loss or death? Your stuck, because there are 200 homes just like yours on the market.
Thank you to John Ford at the Boston Real Estate Watch for the story idea.